These 75 Largest Pennsylvania Corps had Total Pretax Income of $42.1 bil in the most recent fiscal year 2011, which was an off-the-charts 128% increase over the $18.5 bil earned just two years earlier in 2009.
And I also found 95 additional Corps headquartered in Pennsylvania filing with the SEC with Pretax Income or Pretax Loss of at least $10 mil in any of the most recent three fiscal years, but with none of the three years having Pretax Income or Pretax Loss of more than $100 mil.
These 95 Smaller Pennsylvania Corps had their Total Pretax Income in the most recent fiscal year 2011 increase by an even more off-the-charts 667% from such amount two years earlier in 2009. Yeah, these Smaller PA Corps generated total earnings growth in the most recent two years...667%...which was more than 5 times such earnings growth of the Largest PA Corps...128%.
Thus, when you combine the Largest and Smaller PA Corps, you get a total of 170 Largest PA Corps filing with the SEC and which had their Total Pretax Income in the most recent fiscal year 2011 increase by an off-the-charts 134% over such amount two years earlier in 2009.
Whoa! PA citizens have to be very proud of their superb PA companies, of all sizes.
And PA citizens also have to be elated with how the Obama Administration has created such a robust US economic environment which has fostered their companies' exceptional earnings growth in the most recent two years.
Corporate earnings drive stock prices. These exceptional US corporate profits, generated during the Obama Administration, were the reason the US stock market has doubled in the past three and a half years.
But there is another very important story here.
It is just incredible how much better the total earnings growth of these 170 Largest PA Corps was in 2010 over 2009, when the US House was under Moderate Democratic control, than it was in 2011 over 2010, when the US House was under Very Conservative Republican control, with Vice Presidential Candidate Paul Ryan being one of the key pivotal leaders of this Uncompromising, Block-Voting, Very Conservative Republican Movement, which has such an extremely low approval rating in the eyes of US citizens.
Just how much better were these earnings?
Well, the Total Pretax Income growth of these 170 Largest PA Corps was 21% in 2011 over 2010. On the other hand, this 21% total earnings growth under Uncompromising, Very Conservative Republican control of the US House was dwarfed by the 4.4 times higher spectacular earnings growth of 93% in 2010 over 2009 under Moderate Democratic control of the US House.
So, the conventional wisdom that businesses perform far better under Republican control than under Democratic control was certainly not true in PA.....nor was it true in nearly in any other US State.
And this pattern of substantially higher earnings growth under US House Democratic control than under Republican control was consistent with both the Largest and Smaller PA Corps. In fact, the 95 Smaller PA Corps generated total earnings growth of a massive 502% in 2010, when the US House was under Democratic control, versus a substantially lower 27% total earnings growth in 2011, when the US House was under Uncompromising, Very Conservative Republican control.
And this PA 170 Largest Corp 2011 total earnings growth of 21% was dramatically lower in the first half of 2012, under the Paul Ryan/Eric Canter-led Uncompromising, Block-Voting, Very Conservative Republican control of the US House.
Clearly, the best combination for the US economy is a Moderate Democratic President and a Moderate Democratic US House. This is precisely what we had in 2009 and 2010.
So many pundits criticize the Obama Economic Stimulus. It started really kicking in starting in the 4Q 2009, when the Obama Administration’s economic stimulus programs, both business income tax incentives and individual income tax cuts, as well as wisely designed, very carefully vetted US Government investments, were all going full throttle. And look at the result in annual 2010, with PA's 75 Largest Corps increasing their total earnings by a substantial 88% in just one year, and with the 95 Smaller PA Corps also increasing their total earnings by a spectacular 502% in just one year.....2010.
So, why it is that the total earnings growth was so substantially lower in annual 2011 and in the first half of 2012 in PA and all over the country, when the US House is under Very Conservative Republican control?
Well, this Very Conservative Republican US House has no interest in compromise. Thus, nearly every wise, much-needed Obama economic initiative was stopped by this US House, and also stopped by filibustering by US Senate Republicans.
And the losers here were not just the unemployed, the underemployed, the dwindling middle class, and the people trying to get into the middle class. US Businesses were also big losers, by having their earnings growth substantially decelerate in 2011, and even more dramatically so in the first half of 2012.
So, how does the country get out of this horrible economic pickle?
I think the only way the US economy will be great again is for a combination of a Moderate Democratic President and a US House under control by Moderate Democrats. And a US Senate under control by Moderate Democrats would also help. In such a political environment, I think you will see wise, effective legislation quickly passed which will spur US job creation. And the country will be back to 2010 again, when US business earnings were on fire!
With Obama as President and the Uncompromising, Block-Voting, Very Conservative Republicans remaining in control of the US House, there will be continued gridlock, and I think you'll see the US unemployment rate remaining above 8% through 2016.
And if Mitt Romney is elected President, and if both the US House and US Senate are also in Republican hands, I think you will see the US unemployment rate continually creep up, and average in the low double-digit percentages for the last three years of Romney's presidential term.
Why? Because the key components of Romney's economic plan.....(1) substantial, no-job-creation-strings-attached income tax rate cuts for both very wealthy individuals and for large corporations, (2) tax-free foreign earnings repatriation, and (3) a worldwide territorial tax system.....in the aggregate, do create many jobs overseas, but do not create any jobs, in the aggregate, in the US. And when you combine that with the more than 130,000 new people added to the available US workforce each month, you mathematically get a low double-digit percentage US unemployment rate starting in the first half of 2014.
And when you have continuing low double-digit percentage US unemployment rates, the annual US deficits will explode upwardly, and will be substantially higher than the present staggering annual US deficits.
In deriving Ongoing, Core Pretax Income, I start with Pretax Income under Generally Accepted Accounting Principles (GAAP), and then exclude several clearly unusual very large items relative to Pretax Income, such as Asset Impairments, and Gains and Losses on both Debt Retirements and Asset Dispositions. For PA's several large insurance companies, I excluded Realized Net Investment Gains and Losses, including Derivative Gains and Losses.
I use Pretax Income rather than After-tax Net Income, since so much of the change in effective income tax rates just happens due to financial engineering.
I excluded Corps in the Development Stage. I also excluded Corps with not significant enough Total Revenues.
Below here is the Ongoing, Core Pretax Income (PTI) and Pretax Loss (PTL) of these 75 Largest and 95 Smaller PA Corps for each of the most recent three years, along with the related percentage changes.
| Move to | Obama | ||||||
| More | More | Bump | |||||
| Republican | Democratic | Two | |||||
| Control | Control | Year | |||||
| PTI(L) | PTI(L) | PTI(L) | |||||
| % | % | % | |||||
| Total | Total | Total | Change | Change | Change | ||
| PTI(L) | PTI(L) | PTI(L) | 2011 | 2010 | 2011 | ||
| Pennsylvania | 2011 | 2010 | 2009 | vs | vs | vs | |
| HQs | mils $s | mils $s | mils $s | 2010 | 2009 | 2009 | |
| Pennsylvania Largest Corps | |||||||
| Comcast | Philadelphia | 8,207 | 6,104 | 5,106 | 34% | 20% | 61% |
| PNC Financial | Pittsburgh | 4,069 | 3,901 | 2,149 | 4% | 82% | 89% |
| ACE Ltd | Philadelphia | 2,886 | 3,235 | 3,273 | -11% | -1% | -12% |
| Air Products & Chemicals | Allentown | 1,710 | 1,490 | 906 | 15% | 64% | 89% |
| TE Connectivity Ltd | Philadelphia Area | 1,629 | 1,558 | (123) | 5% | 1367% | 1424% |
| PPG Industries | Pittsburgh | 1,597 | 1,295 | 617 | 23% | 110% | 159% |
| Santander Holdings US | Wyomissing | 1,523 | 1,019 | (1,123) | 49% | 191% | 236% |
| Lincoln National | Radnor | 1,346 | 1,234 | 209 | 9% | 490% | 544% |
| HJ Heinz | Pittsburgh | 1,242 | 1,374 | 1,290 | -10% | 7% | -4% |
| AmeriSource Bergen | Chesterbrook | 1,131 | 1,028 | 824 | 10% | 25% | 37% |
| Alcoa | Pittsburgh | 1,063 | 548 | (1,498) | 94% | 137% | 171% |
| Hershey | Hershey | 963 | 854 | 731 | 13% | 17% | 32% |
| CONSOL Energy | Canonsburg | 904 | 533 | 788 | 70% | -32% | 15% |
| Mylan Inc | Canonsburg | 704 | 483 | 453 | 46% | 7% | 55% |
| Universal Health Services | King of Prussia | 696 | 481 | 475 | 45% | 1% | 47% |
| Crown Holdings | Philadelphia | 619 | 630 | 485 | -2% | 30% | 28% |
| FMC | Philadelphia | 572 | 432 | 356 | 32% | 21% | 61% |
| Ametek | Berwyn | 557 | 406 | 295 | 37% | 38% | 89% |
| EQT | Pittsburgh | 556 | 355 | 254 | 57% | 40% | 119% |
| Endo Pharmaceuticals | Chadds Ford | 513 | 474 | 332 | 8% | 43% | 55% |
| Airgas | Radnor | 492 | 455 | 355 | 8% | 28% | 39% |
| Dick's Sporting Goods | Coraopolis | 432 | 298 | 223 | 45% | 34% | 94% |
| ING USA Annuity & Life Insurance | West Chester | 399 | 26 | (133) | 1435% | -120% | 400% |
| Triumph Group | Berwyn | 397 | 234 | 126 | 70% | 86% | 215% |
| Kennametal | Latrobe | 390 | 296 | 77 | 32% | 742% | 406% |
| Penn National Gaming | Wyomissing | 389 | 230 | 204 | 69% | 13% | 91% |
| Gardner Denver | Wayne | 387 | 232 | 124 | 67% | 87% | 212% |
| Erie Indemnity | Erie | 364 | 714 | 238 | -49% | 200% | 53% |
| Sunoco Logistics Partners | Philadelphia | 347 | 228 | 250 | 52% | -9% | 39% |
| Allegheny Technologies | Pittsburgh | 339 | 126 | 74 | 169% | 70% | 358% |
| Dentsply | York | 339 | 358 | 363 | -5% | -1% | -7% |
| Vishay Intertechnology | Malvern | 331 | 406 | 10 | -18% | 1115% | 3210% |
| SEI Investments | Oaks | 318 | 370 | 362 | -14% | 2% | -12% |
| Unisys | Blue Bell | 291 | 223 | 218 | 30% | 2% | 33% |
| Urban Outfitters | Philadelphia | 289 | 417 | 344 | -31% | 21% | -16% |
| Wesco Intl | Pittsburgh | 279 | 158 | 131 | 77% | 21% | 113% |
| Ansys | Canonsburg | 265 | 216 | 174 | 23% | 24% | 52% |
| Westinghouse Air Brake | Wilmerding | 255 | 187 | 163 | 36% | 15% | 56% |
| Federated Investors | Pittsburgh | 246 | 301 | 327 | -18% | -8% | -25% |
| American Eagle Outfitters | Pittsburgh | 237 | 320 | 304 | -26% | 5% | -22% |
| GNC Holdings | Pittsburgh | 228 | 147 | 111 | 55% | 32% | 105% |
| Education Management | Pittsburgh | 227 | 381 | 297 | -40% | 28% | -24% |
| Select Medical | Mechanicsburg | 215 | 124 | 102 | 73% | 22% | 111% |
| Viropharma | Exton | 208 | 201 | 86 | 3% | 134% | 142% |
| Sunoco | Philadelphia | 207 | 563 | (120) | -63% | 569% | 273% |
| Fulton Financial | Lancaster | 196 | 173 | 89 | 13% | 94% | 120% |
| Armstrong World Industries | Lancaster | 193 | 89 | 93 | 117% | -4% | 108% |
| EnerSys | Reading | 191 | 160 | 84 | 19% | 90% | 127% |
| Carpenter Technology | Wyomissing | 189 | 88 | 5 | 115% | 1660% | 3680% |
| Amerigas Partners | Valley Forge | 179 | 171 | 190 | 5% | -10% | -6% |
| Teleflex | Limerick | 164 | 154 | 164 | 6% | -6% | 0% |
| Kulicke & Soffa | Philadelphia | 162 | 140 | (77) | 16% | 282% | 310% |
| Liberty Property Trust | Malvern | 132 | 125 | 125 | 6% | 0% | 6% |
| InterDigital | King of Prussia | 125 | 238 | 143 | -47% | 66% | -13% |
| Aramark | Philadelphia | 122 | 33 | (24) | 270% | 238% | 608% |
| FNB Corp | Hermitage | 119 | 103 | 50 | 16% | 106% | 138% |
| Weis Markets | Sunbury | 118 | 107 | 98 | 10% | 9% | 20% |
| Natl Penn Bancshares | Boyertown | 113 | 33 | (137) | 242% | 124% | 182% |
| Matthews Intl | Pittsburgh | 112 | 110 | 91 | 2% | 21% | 23% |
| Safeguard Scientifics | Wayne | 111 | 27 | 67 | 311% | -60% | 66% |
| Harsco | Camp Hill | 109 | 81 | 159 | 35% | -49% | -31% |
| Mine Safety Appliances | Pittsburgh | 105 | 57 | 65 | 84% | -12% | 62% |
| DFC Global | Berwyn | 102 | 55 | 66 | 85% | -17% | 55% |
| West Pharmaceutical Services | Lionville | 102 | 83 | 90 | 23% | -8% | 13% |
| II-VI Inc | Saxonburg | 79 | 102 | 51 | -23% | 100% | 55% |
| United Refining | Warren | 42 | (115) | 54 | 90% | -313% | -22% |
| Atlas Resource Partners | Pittsburgh | 27 | 63 | 102 | -57% | -38% | -74% |
| Harleysville Group | Harleysville | 16 | 83 | 116 | -81% | -28% | -86% |
| RAIT Financial Trust | Philadelphia | 15 | (17) | (136) | 188% | 88% | 111% |
| United States Steel | Pittsburgh | (2) | (392) | (1,969) | 107% | 79% | 100% |
| Toll Brothers | Horsham | (29) | (117) | (496) | 75% | 76% | 94% |
| EME Homer City Generation LP | Homer City | (75) | 38 | 111 | -297% | -66% | -168% |
| SunGard Data Systems | Wayne | (143) | (219) | (175) | 35% | -25% | 18% |
| Rite Aid | Camp Hill | (392) | (546) | (480) | -14% | -14% | 18% |
| Radian Group | Philadelphia | (452) | (809) | (253) | 123% | -553% | -79% |
| Total all 75 Largest Corps | 42,088 | 34,743 | 18,475 | 21% | 88% | 128% | |
| Pennsylvania Smaller Corps | |||||||
| Globus Medical | Audubon | 97 | 88 | 82 | 10% | 7% | 18% |
| Penn Virginia Resource Partners | Radnor | 96 | 64 | 63 | 50% | 2% | 52% |
| Northwest Bancshares | Warren | 91 | 81 | 36 | 12% | 125% | 153% |
| VWR Funding | Radnor | 91 | 98 | (40) | -7% | 345% | 328% |
| Knoll | East Greenville | 89 | 41 | 44 | 117% | -7% | 102% |
| Dorman Products | Colmar | 85 | 75 | 43 | 13% | 74% | 98% |
| iGATE | Pittsburgh | 84 | 58 | 29 | 45% | 100% | 190% |
| Atlas Energy LP | Pittsburgh | 78 | 44 | (6) | 77% | 833% | 1400% |
| Black Box | Lawrence | 72 | 85 | 54 | -15% | 57% | 33% |
| Susquehana Bancshares | Lititz | 72 | 33 | 2 | 118% | 1550% | 3500% |
| HFF | Pittsburgh | 64 | 26 | 4 | 146% | 550% | 1500% |
| rue21 | Warrendale | 63 | 50 | 36 | 26% | 39% | 75% |
| S&T Bancorp | Indiana | 62 | 58 | 4 | 7% | 1350% | 1450% |
| Quaker Chemical | Conshohocken | 59 | 46 | 24 | 28% | 92% | 146% |
| Healthcare Services Group | Huntington Valley | 58 | 54 | 49 | 7% | 10% | 18% |
| Calgon Carbon | Pittsburgh | 56 | 57 | 50 | -2% | 14% | 12% |
| Entercom Communications | Bala Cynwyd | 54 | 67 | 47 | -19% | 43% | 15% |
| EPAM Systems | Newton | 53 | 31 | 14 | 71% | 121% | 279% |
| Koppers Holdings | Pittsburgh | 53 | 74 | 58 | -28% | 28% | -9% |
| EQT Midstream Partners | Pittsburgh | 53 | 33 | 25 | 61% | 32% | 112% |
| Glatfelter PH | York | 51 | 34 | 35 | 50% | -3% | 46% |
| Pep Boys Manny Moe & Jack | Philadelphia | 42 | 58 | 32 | -28% | 81% | 31% |
| TMS Intl | Glassport | 42 | 18 | (31) | 133% | 158% | 235% |
| Horsehead Holding | Pittsburgh | 37 | 39 | (44) | -5% | 189% | 184% |
| Destination Maternity | Philadelphia | 36 | 28 | 16 | 29% | 75% | 125% |
| Ampco-Pittsburgh | Pittsburgh | 35 | 45 | 48 | -22% | -6% | -27% |
| LB Foster | Pittsburgh | 34 | 31 | 24 | 10% | 29% | 42% |
| Citizens & Northern | Wellsboro | 32 | 25 | (62) | 28% | 140% | 152% |
| Bryn Mawr Bank | Bryn Mawr | 29 | 19 | 16 | 53% | 19% | 81% |
| Universal Stainless & Alloy Products | Bridgeville | 28 | 20 | (4) | 40% | 600% | 800% |
| Five Below | Philadelphia | 26 | 12 | 7 | 117% | 71% | 271% |
| Rex Energy | State College | 26 | 6 | (28) | 333% | 121% | 193% |
| CSS Industries | Philadelphia | 25 | 27 | 21 | -7% | 29% | 19% |
| Michael Baker Corp | Moon Township | 25 | 25 | 38 | 0% | -34% | -34% |
| Univest Corp of Pennsylvania | Souderton | 24 | 19 | 11 | 26% | 73% | 118% |
| CNB Financial | Clearfield | 21 | 15 | 11 | 40% | 36% | 91% |
| CDI | Philadelphia | 20 | 5 | (19) | 300% | 126% | 205% |
| eResearchTechnology | Philadelphia | 20 | 14 | 17 | 43% | -18% | 18% |
| Nutri System | Fort Washington | 19 | 53 | 46 | -64% | 15% | -59% |
| ESB Financial | Ellwood City | 19 | 18 | 14 | 6% | 29% | 36% |
| QLIK Technologies | Radnor | 19 | 21 | 9 | -10% | 133% | 111% |
| Citizens Financial Services | Mansfield | 16 | 15 | 13 | 7% | 15% | 23% |
| First Commwealth Financial | Indiana | 15 | 23 | (46) | -35% | 150% | 133% |
| Universal Health Realty Income Trust | King of Prussia | 15 | 16 | 19 | -6% | -16% | -21% |
| Vishay Precision Group | Malvern | 15 | 19 | 7 | -21% | 171% | 114% |
| Penn Woods Bancorp | Jersey Shore | 14 | 12 | 5 | 17% | 140% | 180% |
| Penseco Financial Services | Scranton | 14 | 15 | 10 | -7% | 50% | 40% |
| First Keystone | Berwick | 12 | 11 | 9 | 9% | 22% | 33% |
| ACNB | Gettysburg | 11 | 10 | 9 | 10% | 11% | 22% |
| Lehigh Gas Entities | Allentown | 11 | 2 | 6 | 450% | -67% | 83% |
| Met Pro Corp | Harleysville | 11 | 9 | 7 | 22% | 29% | 57% |
| Parkvale Financial | Monroeville | 11 | (28) | (13) | 139% | -115% | 185% |
| QNB Corp | Quakertown | 11 | 9 | 5 | 22% | 80% | 120% |
| RTI International Metals | Pittsburgh | 11 | 7 | (18) | 57% | 139% | 161% |
| Eastern Insurance Holdings | Lancaster | 10 | 4 | 8 | 150% | -50% | 25% |
| Norwood Financial | Honesdale | 10 | 10 | 9 | 0% | 11% | 11% |
| Peoples Financial Services | Hallstead | 10 | 8 | 6 | 25% | 33% | 67% |
| Beneficial Mutual Bancorp | Philadelphia | 9 | (24) | 19 | 138% | -226% | -53% |
| DynaVox | Pittsburgh | 9 | 16 | 9 | -44% | 78% | 0% |
| Franklin Financial Services | Chambersburg | 7 | 11 | 9 | -36% | 22% | -22% |
| Customers Bancorp | Wyomissing | 6 | (12) | (13) | 150% | 8% | 146% |
| CubeSmart | Wayne | 3 | (12) | (21) | 125% | 43% | 114% |
| Hersha Hospitality Trust | Harrisburg | 2 | (9) | (13) | 122% | 31% | 115% |
| Charming Shoppes | Bensalem | 0 | (40) | (76) | 100% | 47% | 100% |
| First National Community Bancorp | Dunmore | 0 | (32) | (45) | 100% | 29% | 100% |
| Lannett Company | Philadelphia | (1) | 13 | 11 | -108% | 18% | -109% |
| PhotoMedex | Montgomeryville | (3) | 18 | 2 | -117% | 800% | -250% |
| Lease Equity Appreciation Fund II LP | Philadelphia | (5) | (8) | (19) | 38% | 58% | 74% |
| USA Technologies | Malvern | (5) | (12) | (14) | 58% | 14% | 64% |
| ICG Group | Wayne | (6) | (11) | (11) | 45% | 0% | 45% |
| Donegal Group | Marietta | (7) | 10 | 21 | -170% | -52% | -133% |
| Royal Bankshares Pennsylvania | Narberth | (8) | (24) | (31) | 67% | 23% | 74% |
| Stonemor Partners | Levittown | (9) | (19) | (2) | 53% | -850% | -350% |
| Malvern Federal Bancorp | Paoli | (10) | (5) | 1 | -100% | -600% | -1100% |
| Orasure Technologies | Bethlehem | (10) | (3) | (4) | -233% | 25% | -150% |
| Brandywine Realty Trust | Radnor | (13) | (29) | (20) | 55% | -45% | 35% |
| Hemispherx Biopharmaceuticals | Philadelphia | (14) | (14) | (13) | 0% | -8% | -8% |
| WPCS International | Exton | (14) | (4) | 1 | -250% | -500% | -1500% |
| Cardionet | Conshohocken | (15) | (20) | (20) | 25% | 0% | 25% |
| Republic First Bancorp | Philadelphia | (17) | (17) | (18) | 0% | 6% | 6% |
| Institutional Financial Markets | Philadelphia | (18) | 11 | (20) | -264% | 155% | 10% |
| Polymedix | Radnor | (20) | (16) | (12) | -25% | -33% | -67% |
| Fibrocell Science | Exton | (21) | (12) | (13) | -75% | 8% | -62% |
| Resource America | Philadelphia | (21) | (17) | (27) | -24% | 37% | 22% |
| Pulse Electronics | Trevose | (22) | 6 | 9 | -467% | -33% | -344% |
| Bon Ton Stores | York | (23) | 23 | (12) | -200% | 292% | -92% |
| Orrstown Financial Services | Shippansburg | (23) | 23 | 17 | -200% | 35% | -235% |
| American Realty Capital Trust | Jenkintown | (24) | (10) | (4) | -140% | -150% | -500% |
| Morgan Properties Trust | King of Prussia | (29) | (6) | 7 | -383% | -186% | -514% |
| American Petroleum Tankers | Plymouth Meeting | (33) | (35) | (2) | 6% | -1650% | -1550% |
| Auxilium Pharmaceuticals | Malvern | (33) | (51) | (53) | 35% | 4% | 38% |
| Pennsylvania Real Estate Investment Trust | Philadelphia | (50) | (84) | (71) | 40% | -18% | 30% |
| Unilife Corp | York | (52) | (41) | (30) | -27% | -37% | -73% |
| NCO Group | Horsham | (74) | (81) | (53) | 9% | -53% | -40% |
| Penn Virginia Corp | Radnor | (91) | (62) | (91) | -47% | 32% | 0% |
| Total all 95 Smaller Corps | 1,602 | 1,258 | 209 | 27% | 502% | 667% | |
| Grand Total all 170 Corps | 43,690 | 36,001 | 18,684 | 21% | 93% | 134% |
